The American Chamber of Commerce in Bangladesh (AmCham) has welcomed the proposed national budget for the fiscal year 2026-27, considering it balanced and realistic for macroeconomic stability, social security, and long-term growth. However, they have raised concerns that the budget's 3.55% deficit, if met through excessive reliance on the domestic banking system, could lead to a reduction in private sector loan flow. AmCham stresses the need for coordination between fiscal and monetary policies to address this issue.
AmCham also highlighted the challenge of effectively implementing the massive budget of 9.38 lakh crore Taka. They described the revenue collection target of 6.95 lakh crore Taka as ambitious and urged for the full digitalization and reform of the tax system.
Key Points from AmCham's Statement:
- The proposed budget is seen as balanced and realistic for macroeconomic stability, social security, and long-term growth. - Concerns raised about potential reduction in private sector loan flow due to budget deficit. - Need for coordination between fiscal and monetary policies emphasized. - Effective implementation of the 9.38 lakh crore Taka budget is a major challenge. - Ambitious revenue collection target of 6.95 lakh crore Taka requires digitalization and reform of the tax system.
